Fired Earth has entered administration following a sustained period of financial losses despite significant funding support from its owner, construction entrepreneur Simon Lousada.

According to administrators Leonard Curtis, the company had received substantial shareholder loans in recent years in an effort to stabilise trading performance. However, continued cost pressures and wage inflation contributed to ongoing losses, with the most recent financial year showing a deficit of £1.7 million.

Administrator Andrew O’Hara noted that further investment was not forthcoming in the absence of a viable turnaround plan. He stated: “Its investor was not prepared to provide further funding in the absence of a viable turnaround strategy.”

Operations at the company’s Banbury warehouse and head office are set to continue in the short term to fulfil existing customer orders, while discussions are underway regarding the potential sale of business assets. Any such transaction would not include the transfer of staff.

The failure of Fired Earth adds to a growing list of retail and lifestyle brands struggling under the weight of inflationary pressures and reduced consumer confidence. Earlier this year, maternity wear brand Seraphine, known for its royal clientele, also entered administration following liquidity challenges.

To find more retail businesses like Fired Earth that have fallen into administration recently visit retail administrations